Popcorn, a pioneering DeFi project that incorporates social impact in its protocol through a novel beneficiary funding process (POP), has closed a $2 million funding round with backing from reputable crypto community members and investors. The round was led by Kenetic Capital and New Form Capital as well as a few angel investors. The funds will go toward supporting the launch of its social impact DeFi platform.
Half of fees go to social organizations
Popcorn uses viable opportunities for yield farming within the Ethereum (ETH/USD) ecosystem to provide social value. They invest up to 50% of their smart contract fees in social impact organizations.
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Anthony D Martin, Founder of Popcorn, commented:
“Society is currently undergoing a mass realignment of values and people are seeking something different from their service providers. Popcorn represents a new paradigm — it’s a rethinking of incentive structures with the goal of delivering high-yield next generation finance products, where all barriers and frictional costs to creating positive social and environmental impact are removed. Our mission clearly resonates with the Web3 community, and our recent fundraise means that forward thinking institutions are also bullish on this new future of personal finance.”
POP involves token holder participation and quadratic funding
Popcorn’s innovative beneficiary funding process involves complex quadratic funding mechanisms and token holder participation. However, what users need to know is that they are supporting educational, open source, and environmental initiatives. Some of the platform’s income is routed to eligible beneficiaries on-chain and automatically. They have been approved via on-chain voting by POP token holders. The platform is also partnering with projects to offset and sequester carbon in order to minimize its carbon footprint.
Alex Marinier, Partner at New Form Capital, said:
“New Form is thrilled to be partnered with the Popcorn team in building out an innovative DeFi product — one that will generate yield for its users while simultaneously allowing them to create an impact on causes they care about. We believe that the opportunity to fund sustainability initiatives, improve access to education, and support open source projects through DeFi will resonate with the community and serve as a model for future projects.”
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